My stupid question is, does anyone else relate to this?

Oh yes, I certainly do.

How do you manage to not get caught in "analysis paralysis"?

I do not, for the most part.
On the other side, it's a matter of understanding that ultimately, nothing has an absolute value, so you can as well do entertaining things. Or creative things. The universe won't care anyway.

Do I have the entirely incorrect approach to life by trying to base my moment to moment actions on an overall value system?

Of course, since the system needs to compress so much information that updating it is a momentous and futile task. More so if its purpose is to guide your actions.
Better to start with a very imperfect value system and update it slowly on the run.